Islamabad, November 12, 2024 – The Economic Coordination Committee (ECC) of the Cabinet has approved five critical proposals from the Federal Board of Revenue (FBR) as part of its Transformation Plan aimed at enhancing efficiency, revenue generation, and capacity building within the FBR.
The meeting, chaired by Finance Minister Senator Muhammad Aurangzeb, was held today at the Finance Division, where detailed discussions led to the endorsement of the proposals with certain stipulations.
The five approved proposals are part of the broader FBR Transformation Plan, which was initially approved by the Prime Minister. These proposals focus on specific areas critical to FBR’s operations:
1. Enhancing FBR’s Operational Expertise and Organizational Capacities – aiming to upgrade FBR’s overall functional and structural competencies.
2. Performance Management Regime for FBR Officers – establishing a performance-based framework to evaluate FBR officers effectively.
3. Capacity Building Program for FBR Officers – targeting skill development and ongoing training for FBR personnel.
4. Anti-Smuggling Measures under FBR Transformation Plan – implementing stricter anti-smuggling controls to improve revenue collection.
5. Mobility and Transit Accommodation Arrangements for FBR Officers – improving logistics and accommodations for FBR officers to support their duties.
The ECC granted principled approval to all five proposals, contingent on a third-party impact evaluation of the processes and Key Performance Indicators (KPIs) set under these proposals. This evaluation will be conducted before the next fiscal budget, with a follow-up assessment at the end of 2025. The aim is to assess the initiatives’ impact on FBR’s broader goals of resource mobilization and enhanced revenue generation.
Additionally, the ECC directed that the Revenue Division and Finance Division coordinate to establish the budgetary mechanics, including allocations and budget releases required to support these proposals. This collaboration will ensure that the financial resources align with the plan’s intended outcomes.
In other decisions, the ECC approved a Technical Supplementary Grant (TSG) of Rs. 16.995 billion for the Ministry of Communications (Postal Services Wing) to clear outstanding liabilities for Pakistan Post Office Department partners. This allocation will settle verified claims, ensuring financial stability for companies working with Pakistan Post.
The ECC also approved a TSG of Rs. 1.317 billion for the Election Commission of Pakistan to support Local Government bye-elections in Sindh, Khyber Pakhtunkhwa, Balochistan, and Islamabad, along with upcoming local government elections in Punjab for the fiscal year 2024-25.
Key attendees of the ECC meeting included prominent federal ministers and senior officials from relevant ministries, such as Industries and Production Minister Rana Tanveer Hussain, Power Minister Sardar Awais Ahmad Khan Leghari, and Commerce Minister Jam Kamal Khan. The Governor of the State Bank of Pakistan, FBR Chairman, and other senior officials also participated, underscoring the collaborative government approach in financial and administrative planning for 2024-25.
The ECC’s decisions today signal a significant step toward advancing Pakistan’s revenue infrastructure and supporting governmental and local election processes.
